It has been a rough couple of years for Seller's nationwide, even in Austin where the market has fared much better than anywhere else. I have been working with some first time home buyers since January and was shocked to see that inventories didn't really bump up as Spring approached, as would seasonally be expected. As each weekend passed and little to no additional listings presented, pressure started to mount for myself and my buyers. We have particularly been looking in the 78757, 78759 zip codes (N. Allandale, Crestview, Mesa Park & Millwood South). A few weeks back we found an incredible fixer-upper in Crestview and made an offer. After calling the listing agent to notify of our intentions I found out that three other offers had already been received and this house was only on the market for 18 hours. I felt the whiplash of shock hit me as I heard this! We placed an offer for $11K over list, no seller concessions and a 30 day close. We did not win the bid, however I was informed we were next in line. Again, I was shocked! Not only had this home received 4 offers in the first 24 hours, it had a bidding war already in place. I swear I blinked and found ourselves in this new, once dreamed of, Seller's Market!
After getting over the loss of that home my c;ients and I took a step back to refocus on what it was they really wanted and were willing to deal with in purchasing a resale home. We visited two homes that needed remodels with a third party contractor and realized that the level of remodel needed wouldn't be worth it. Fully refocused we hit the street to find two more options. Two homes, across the park from one another in Mesa Park, similar square footage and interior updating but completely different functional layouts. We placed an offer on one of the two homes and quickly found out that a cash offer had already been received and another offer was expected in the next couple of hours with two return showings in the same day. Again, I saw the same scenario beginning to play out.. Multiple offers + a bidding war... Well, We played it safe, kept our heads on strong and placed an offer just below list with minimal seller contribution. With an immediate response back from the listing agent we found ourselves with a counter at full price, no seller paid contributions and a 45 day close. Even though our original offer wasnt accepted we got the home for a great price. Now we're onto Option and excited to get into Escrow!!
What an incredible whirlwind this has been. I had never expected the market to turn this quickly and now that we're officially in a Seller's Market its time to hit the road and hit it fast. Inventories are at a record low in some areas and the inward population migration is soaking up all available options!
Get your lender ready and let's make a deal!
Follow this link to a recent article about the turning market in Community Impact Newspaper.
No comments:
Post a Comment